a. Vision
This is a driving force for the company, many companies misinterpret it as being something for outside world but this is actually for the internal use. A good vision is one which motivates people and resonates with them. A good leader is one who has a strong sense and understanding of vision and he never loses its sight even for a small fraction of second.
In Enron’s case Jeff Skilling and Kenneth Lay lost sight of vision, earlier the vision of company was to revolutionize how business is done in that industry but later leaders became greedy and all they cared about was stock price. They hid crucial financial details because they were afraid that it would lower the company’s stock price and show them as a weak company who couldn’t handle business for long. Whereas in Apple’s case Steve Jobs was so hooked to his vision, i.e. being number one in innovation, that he transformed whole company on the basis of this vision. People working with him hated him for his guts but they knew that he is honest and dedicated to his cause. His focus and determination made his employees work as hard as they could and produce world class smart phones
b. Abilities
Another main aspect of leadership is leader being equipped with the necessary skills and knowledge in order to lead the company. The worst thing that could happen to a leader is that his own people start doubting his skills. This leads to an environment of distrust as people will stop sharing information thinking that their leader isn’t capable of acting upon information and may steal their ideas.
In Enron’s case Jeff Skilling had technical abilities necessary for the job, he was a Harvard graduate and prior to Enron he was an executive at Mckinsey and company. This was the reason why people trusted him with the company and he wasn’t questioned till the end when company at last filed for bankruptcy. There were concerns about the accounting methods used by the company to record its revenues and losses, for example it used to record unrealized sales as revenues, their methods were shady and few employees had concerns about it but until the bankruptcy no body doubted the abilities of the CEO and he was successfully able to fool investors and employees.
Steve Jobs was also a competent leader and nobody had any doubt on his skills but it was his communication skills and way of dealing with his employees and other people that made him most difficult to deal with and as a result he was kicked out of his own company. But it was not his technical skills, it was his ability to lead a company as he was considered very ruthless and mean.
c. Enthusiasm
If a leader has faith in his decisions and he is enthusiastic about the new course of action only then he would be able to influence others to follow him. Lack of enthusiasm eventually translates into lack of dedication to make a change. Employees would be committed only as long as they see their leader taking interest in a matter so it’s important for a leader to be enthusiastic about his decisions.
Both Jeff Skilling and Steve Jobs strongly believed in innovation and that everything could be challenged and improved. One changed the interface of oil and gas trading while other changed the use of mobile phones. Skilling became overly enthusiastic as much as that he lost sight of reality, he started thinking that empire he is creating is actually untouchable and nothing could damage it. Whereas Steve jobs used to motivate his people by criticizing them severely in order to make them work harder and harder.
d. Charisma
It is indeed one of the most important characteristics of a successful leader that his personality should be charismatic enough to influence others but some leaders use this approach to fool others around them.
Jeff Skilling and Kenneth Lay formed a cult of leadership where they used their charisma to influence employees to work extra hours for them and made investors believe that the company is working to revolutionize the world. Whatever came out of their mouths was believed instantly without analysis.
Steve Jobs was too blunt and it was only after his return in Apple and launch of that people started taking his orders unquestioned otherwise he was in constant struggle with his partners who used to think that he is going way too fast and his leadership style is too critical.
e. Integrity
[large]It is one of the most important qualities of a leader. He should be steadfast, honest, man of his words and courageous. This builds respect for the leader which is eventually transformed into trust and then loyalty and followership. People tend to follow and accept the leaders whom they think trustworthy and forthcoming.
Enron’s leadership had no bone of integrity in its body. They lied to the world and continued making them fools till there was no way but to file for bankruptcy. Kenneth Lay and Jeff Skilling were the largest shareholders of the company and they knew that the share price would be worth nothing once the truth comes out therefore they started shedding their stocks while at the same time they encouraged their investors to invest more in the company.
Steve Jobs on the other hand was a man of his words, he was blunt, rude, self centric but one he was not, liar. He committed that he would change the world of mobile phones with his creation and he promised to launch the product in San Francisco conference and despite so many difficulties he did so. Whatever he promised his users was there in the phone. iPhone users never complain about the software quality or any phone feature. The features stated are delivered as it is and this is what has created brand loyalty for the most expensive smart phone brand in the world.